PlusNet ups sales and profit

PlusNet racked up increased sales and profit last year as broadband users flocked to its service.

Publishing its prelims to the end of December, the Sheffield-based ISP reported that turnover was up 27 per cent to £35.2m compared to the year before. At the same time, operating profit before exceptional items increased by 69 per cent to £4.9m compared to 2004. Profit before tax was £4.5m, compared to £1.9m last year.

Much of this was boosted by a massive surge in new broadband subscribers taking the total number to 176,000 at the end of 2005.

The ISP says BT's roll-out of 8 meg broadband across the UK from April, and the availability of higher connection speeds associated with local loop unbundling (LLU), will help "fuel PlusNet's customer growth in 2006".

"We expect the quality and value of our broadband products to drive continuing gains in market share," it said in a statement today.

And as consumers continue to demand more for less, PlusNet reckons the total spending on phone, broadband and content will continue to fall, something service providers will need to heed. ®